by Clair Mooney | 8 Sep, 2022 | Main News Feed
With insolvency risk beginning to rival inflation as a threat to the industry, Director of KPMG’s Major Projects Advisory Team Joe Manning has outlined how to identify and respond to signs of insolvency in the supply chain. A combination of the following warning signs may indicate that a company on site is in distress:
- A high turnover of staff
- A general decrease in labour
- A slowdown in the progress of the works or the works not achieving project timescales or milestones
- Poor quality workmanship and/or an increase in defects
- Removal of plant, equipment and/or materials
KPMG has published a summary on preserving value under supply chain pressure which includes the measures that can be put in place to protect against insolvency and the steps that should be taken in the event that it occurs.
by Clair Mooney | 8 Sep, 2022 | Main News Feed
The latest information from Builders’ Conference shows that 460 contracts worth £6.2 billion were awarded in August. Both the number and value of contracts were higher than the monthly average over the last year, which is particularly encouraging given that August is traditionally quieter due to the summer holidays. It was a strong month for the public sector, which accounted for 39% of all contracts awarded by value, including two prison contracts totalling £650 million and three water and sewage projects worth £505 million. In the private sector, there were 136 housing projects worth £1.9 billion (30%), 24 industrial projects totalling £326 million (5%), and 67 office projects worth £319 million (5%).
The number of tender opportunities was still 8% below the previous month and, with the new Prime Minister now in place, the industry will be hoping that continued investment in infrastructure together with a plan to deal with rising inflation will sustain activity for the rest of the year.
by Clair Mooney | 8 Sep, 2022 | Skills
With construction needing to recruit over 53,000 new entrants every year to maintain output, Build UK has published the results of its latest survey of members to understand current levels of employment within the industry and the impact of job vacancies across the supply chain. ‘Increasing Employment in Construction’ reveals that 33% of respondents have increased their number of directly employed workers in the last 12 months, with 50% predicting an increase over the next year, which is being driven primarily by an increase in activity, followed by companies taking on more new entrants and apprentices.
68% of Build UK members confirmed they currently have vacancies, which is increasing pressure on existing teams and stifling business growth. To help recruit more new entrants into construction, Build UK will be focussing on improving the journey from education to employment, and will be reviewing the various ways that young people take their first step into the industry, including Apprenticeships, Traineeships, T Levels and Degrees.
by Clair Mooney | 8 Sep, 2022 | Main News Feed, Sustainability
Eco-I North West is a practical, interactive project aimed at North West based SME’s that are starting their low-carbon innovation journey and are looking for opportunities and support to become a low-carbon business.
It is being run as two ‘in-person’ workshops held on campus at Manchester Met.
Dates: Wednesday 12 October 2022 & Wednesday 19 October 2022
Time: 10.00 to 16.00 (with lunch provided)
Location: The Salutation, 12 Higher Chatham Street, Manchester, M15 6ED (Part of Manchester Metropolitan University’s Campus).
Cost: For NW based SME’s the project is fully funded via ERDF.
What will be covered
During COP26 the UK Government announced plans for firms to show how they intend to hit net-zero. For those who have not engaged with the sustainability agenda before, or those who have looked at the scale of the challenge and wondered what they can do next to avoid the challenges of things like clean air bills and bans on red diesel fuel, this can feel like a daunting proposition.
On the 12th & 19th October, Manchester Metropolitan University are holding a two-day interactive workshop to help North West SMEs begin their sustainability journey through the development of long-term net-zero action plans, with a particular focus on innovation. The programme will cover: the basics of the climate emergency; understanding your business and its environmental impacts; identifying opportunities for innovation; and, how to develop pathways that can take businesses from current to next practice. Following the workshops, participating businesses will also have the opportunity to work closely with Manchester Met academics to implement innovations in their organisation through things like biofuels, hydrogen, 3D printing and more.
If you are interested in learning how your organisation can adapt to the threats and opportunities posed by the climate emergency and how it can not just survive, but thrive in a net-zero world, then you can register your interest and arrange an informal chat about the project, by completing the EOI form on the website ECO-I North West · Manchester Metropolitan University
by Clair Mooney | 6 Sep, 2022 | Sustainability, Transformation
The Cabinet Office has now published the first revision of the Construction Playbook. The Playbook captures commercial best practices and specific sector reforms outlining the government’s expectations of how contracting authorities and suppliers, including the supply chain, should engage with each other.
These are set out in 14 key policies for how the government should assess, procure and deliver public works projects and programmes which all central government departments and their arms length bodies are expected to follow on a ‘comply or explain’ basis.
This is the culmination of 6 months work, which has involved people from across Whitehall and the construction sector, and to which BEIS has made a significant contribution, particularly in relation to the enhanced content in the Playbook and associated guidance on net zero carbon and environmental performance as a key component of a strategic approach to ensuring the sustainability of infrastructure and construction projects. The key points about the substance of these changes are:
- a clearer statement that whole life carbon assessments should be undertaken for all HMG construction projects and programmes, and that these should be consistent with strategic organisational objectives for decarbonising estates and improving carbon performance;
- further guidance on what action contracting authorities should be undertaking at each stage of the process for implementing these projects, from market engagement through to handover and operation, to deliver improved carbon outcomes, with an emphasis on benchmarking, monitoring and reporting these;
- pointing contracting authorities to a much wider range of external resources (toolkits, advice and guidance, promoting the circular economy and contractual clauses – the CIH Value Toolkit is regularly referenced, and we also cite Construct Zero in the Guidance Note) to support their efforts and enable them to embed a more comprehensive approach;
- incorporation of the need to address the provisions of the Environment Act 2021 (e.g. biodiversity net gain), and also emphasising the importance of wider considerations such as air and water quality; and
- additional and comprehensive guidance on Net Zero and Sustainability, including a set of case studies of best practice. We highly recommend the Foleshill Health Centre one as an example of what can be achieved – but we have also managed to include case studies from HS2, the Environment Agency, and also the product platform developed through the TCC with CIH involvement.
Comment of the revised launch of the Construction Playbook FIS CEO, Iain McIlwee stated:
“The Construction Playbook sets its stall out in the first line – the focus is getting projects and programmes right from the start. Nothing really is more important than this, as per our own research on procurment – the best form of dispute resolution is effective procurement in the first place. It is imperitive as the biggest client of construction in the UK that Government is an exemplar client and that the principles outlined in here extend to the wider public sector procurement and into institutional investors.”
The revised version of the Construction Playbook, together with associated documents is available here.
Details of FIS Research into Procurement is available here.
by Clair Mooney | 6 Sep, 2022 | Contractual and Legal, Lens Blog, Main News Feed
The second in our series of short blogs by FIS Consultant, Len Bunton on contractual and commercial issues he experiences when supporting FIS members and the wider community – it is designed to help FIS Members avoid common traps and build on our focus on collective experience.
My phone is ringing a lot just now with clients saying – “we need help as we are not getting paid.” Is that going to improve, and I would say no in the current market conditions. What business in the construction industry need to do is to become much more focused, and commercially smarter in dealing with the financial aspects of their projects.
So here are a few suggestions…
by Clair Mooney | 6 Sep, 2022 | Sustainability
Given the need to focus all efforts on reducing the cost of energy, SME’s are reminded that they can get a free copy of the standard BSI ISO 50005 on energy management.
The aim of the guide is to help SMEs with their decarbonisation journey, and BEIS in a practical gesture, has sponsored 100,000 free copies of the BS ISO 50005 standard which is targeted at SMEs to help them “to develop a practical, low cost-approach to energy management to reduce energy consumption, energy bills and greenhouse gas emissions”.
Energy management systems are systematic tools that support businesses in managing their energy usage. The BS ISO 50005 standard is designed for SMEs through a phased/staged implementation approach to make it manageable for SMEs with small resource and capacity.
You can download your free copy here.
by Clair Mooney | 6 Sep, 2022 | CSCS
CSCS has updated its user guide for employers making applications on behalf of their workforce. Designed to make applications quicker and easier, the new guidance is available to download for free and includes information on registering applicants, uploading employee qualifications and adding CITB Health, safety and environment test details.
The guidance also includes the following:
- Lost and replacement cards
- Signing into your account
- Types of application
- Card dispatch addresses
- Useful hints and tips to save you time and effort
Download the new updated guidance free via the CSCS website.
by Clair Mooney | 5 Sep, 2022 | Skills
Now pupils are heading back to school and those who left in June or July follow their post school dreams there is going to be a number of young people who are undecided, back into education, further education linked to an occupation, employment or an apprenticeship. If you are looking to increase your workforce the pool of undecided could be an opportunity.
When you embark on the quest to recruit it is worth considering what qualification options there are available for your new employees. FIS have 34 Training Provider members up and down the country offering training, qualifications and apprenticeships from the trades to senior management take a look at FIS Training Directory for a fellow member in your area, some of these training organisations operate nationally and will deliver the necessary training onsite.
Vocational qualifications are the main stay of the sector but are more suited to experienced workers unless preceded by a formal training programme leading to a recognised national qualification, as they are in the apprenticeship frameworks for Scotland and Wales. Individuals learn the skills and knowledge in a training environment and apply these in the workplace to develop the appropriate attitude and gain experience.
For apprenticeships in England FIS members deliver training for the following trade options:
- Plasterer
- Option 1 – Solid
- Option 2 – Fibrous
- Interior Systems installer
- Option 1 – Dryliner
- Option 2 – Ceilings and Partitions Installer
Take a look and download a copy of the FIS Apprentice – Guidance for Employers. If you need any assistance to source training or qualifications call FIS on 0121 707 0077 or email info@thefis.org.